In assessing the worldwide economic disruption that arose from the 2008 financial crisis, policy makers zeroed in on the dangers of large, intertwined financial organizations that can generate substantial spillover effects throughout all sectors of the global economy. In this enlightening analysis, economists Robert Engle and Cristiano Zazzara identify the risks and resilience of such firms to three pivotal events in 2016. getAbstract recommends this compelling though scholarly report to financial professionals and policy experts.
In this summary, you will learn
- Why regulators have designated certain banks and insurance companies as systemically important,
- What information the “SRISK” tool provides to policy makers, and
- How aggregate SRISK responded to three pivotal 2016 events.
About the Authors
Robert Engle, the 2003 Nobel Laureate in Economics, is a professor at the NYU-Stern School of Business. Cristiano Zazzara is a managing director at S&P Global Market Intelligence.